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His ‘clients’ are multinational corporations that range from coffee (and coffee-mug) producers
and garments manufacturers to those producing high-technology components such
as computer chips for automobiles and electronic goods.
<P>Santiago, who is
attached to an international non-profit organisation and who usually audits factories
located in Southeast Asia, also checks factories that produce for the world’s
largest hypermarkets and stores.</P><P>He spends two to three days at each factory
– conducting interviews with workers and managers, checking medical records, the
work environment and state of equipment – to assess compliance with the International
Labour Organisation’s (ILO) core labour standards.</P><P>Standards that make
up the first component of his audits relate to the right and freedom to associate
and to organise; collective bargaining; equal remuneration; and prevention of
discrimination, forced labour and child labour.</P><P>The second and third components
pertain mainly to health and safety standards and practices; the rights of women
and migrant workers; and environmental disposal mechanisms in place.</P><P>“We
just try to ensure that working conditions are humane, because working conditions
in labour-intensive jobs, generally, are horrendous,” said Santiago, who
is also director of the Petaling Jaya-based Monitoring Sustainability of Globalisation,
in an interview.</P><P>He explained that social compliance auditing came about
because of pressure from consumers, trade unions, and civil society in Europe
and US in demanding ethical sourcing and production from companies and their contract
manufacturers.</P><P>“Companies are vulnerable to consumers. There are always
these major campaigns such as against Wal-Mart Stores and so on. For them, it’s
important that you follow the labour standards. There’s no way out of this
any more,” he said.</P><P>“As a result of pressure from Europe and US,
companies feel that they and their contract manufacturers have to hold to some
standards in order to assure consumers and say, ‘Hey, look, we’re following
some standards here’.”</P><P><B>Violation of standards</B></P><P>What
are some of the labour standards violations that he has seen during the course
of his work?</P><P>They range from manufacturers under-paying (or not paying)
workers for overtime work, pressure or outright discrimination against unionised
workers, and exploitation and abuse of contract workers recruited by a labour
contractor.</P><P>These contract workers are employed on irregular basis. They
suffer the brunt of abuses as they are not covered by employment terms or given
any regular benefits or increments, said Santiago.</P><P>Many companies go for
the absolute minimum of compliance if they fulfill the labour standards at all,
he noted.</P><P>More serious violations include forcing factory-workers to operate
in crowded premises and in such hot, humid, and poorly-ventilated halls that two
to three people faint daily and have to be sent to hospital.</P><P>Santiago describes
factories where the workers are monitored closely and discouraged from taking
any breaks – even to use the toilet – that many developed urinary tract infections.</P><P>Cases
also abound of contract manufacturers who entice foreign workers with attractive
terms of employment and remuneration, but present them with drastically different
contracts upon arrival in the country.</P><P>“These are serious violations,”
said Santiago in reference to one factory that he had audited.</P><P>“Right
away, I got on the phone and I called the (parent) company abroad and said, ‘Look,
you have to come down here’. Someone arrived within 48 hours and had a discussion
(with the local manager). There was no union, but the workers got their back wages.”</P><P>While
conceding that social audit compliance on the part of companies are essentially
public relations exercises to assuage consumers, Santiago said these can still
result in better terms and conditions for workers.</P><P>“(Contract manufacturers)
could potentially lose the contract. If they do not follow the recommendations
and are quite aggressive about it, and there is no middle ground, the parent company
can also cut down on the quota and the volume of supply.</P><P>“Any one contract
manufacturer will produce goods for five or six companies. Once one main company
pulls out a contract, the others will follow.”</P><P>Although many factories
continue to violate labour standards despite being told by their parent companies
to change, there are also those who implement changes recommended in social audit
reports.</P><P>“(In my work), I go back to the company after a year or more,
and I’ve seen changes. Small gains can happen,” he added.</P><P><I>Source:
http://www.malaysiakini.com/news/61831</I>
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